Question

Someone post from a discussion question... (Respond to it)

“Indemnity insurance is a contractual agreement in which one party guarantees compensation for actual or potential losses or damages sustained by another party. Most commonly, it is an insurance policy designed to protect professionals and business owners when found to be at fault for a specific event such as misjudgment.”

Managed care has been replacing indemnity insurance because it is more cost efficient. With indemnity insurance you have to pay out of pocket and give you a limit to the amount of coverage you can receive in a lifetime. However you have more freedom to pick a doctor that you want to treat you. Managed care you have to pick from pre selected healthcare providers. With making deals with healthcare providers to accept these plans they are able to bring down cost.

Health Maintenance Organizations (HMOs) Normally only pays for care if you are within your network. You pay a monthly fee to receive healthcare.

Preferred Provider Organizations (PPOs) Will pay for care within your network, but will also pay some of the cost outside your network. You pay for services as you get them. The healthcare provider will bill your insurance and you have to pay what your deductible does not cover.

Point of Service (POS) With this plan you do not pay a deductible and you pay a small co payment that is inside your network. If you go out of network you will have to pay a deductible and a co payment.

Answer 1

Yes, i am in favor of your views and i like to add that indemnity Insurance is an important risk protection policy for medical professionals which can help them to reduce chances of not getting compensated for uncertain situations. Like you said, it guarantees compensation for actual or potential losses from other parties but it is not as good as managed care which have dual goals.Managed care can help healthcare providers to control health care costs and manag quality of care. HMO In the United States is a medical insurance group that provides health services for a fixed annual fee . A preferred provider organization (PPO) is a medical care arrangement in which medical professionals and facilities provide services to subscribed clients at reduced rates. A point of sale system, or POS, is the place where your customer makes a payment for products or services at your store. Simply put, every time a customer makes a purchase at your store, they're completing a point of sale transaction.